It's time to show clients you care
By Joyce M Rosenberg
Associated Press
NEW YORK The holiday season can be a huge marketing opportunity for a small business or a wasted chance to make a lasting, positive impression with customers and clients.
The result you end up with will depend on how much thought and effort you put into showing your appreciation.
Many business owners will go the time-honored route of giving a gift, and that certainly can be effective. But, before you start ordering pens or mugs emblazoned with your company's name, stop and think about it.
You know that pens are never looked at and will be lost within a week. And worse, you're giving the impression you're cheap and really don't care not exactly the image you want customers to have.
No more knickknacks
Rick Frishman, president of Planned Television Arts, a division of the public relations firm Ruder-Finn in New York, used to give such small knickknacks to clients. No longer, though.
"I've realized more and more they've been useless and have been ignored," he said.
Whatever you do to mark the holidays should have a positive impact. So if you're going to give a gift, you're better off finding something that's more unique or personal or that's more likely to be helpful to your customers or clients in their own business.
Of course, under the Internal Revenue Code, you can deduct only $25 for business gifts per person during the year. If you spend much more than that buying theater tickets, let's say, or giving a gift certificate you'll have to absorb most of the cost. But the investment in good will is likely to be worth the extra expense.
Many customers particularly if you deal with the public will appreciate a discount of some sort. But it should be an amount that shows your relationship with customers matters more to you than their money, and you should give discounts on something they're likely to want, not last year's leftovers or the least-used service you offer. Offer a worthless discount and they'll see right through you.
Cards may get lost
Many small-business owners send cards, and that's perfectly acceptable. But many company owners rightly worry about their card getting lost in a pile.
Some have already dealt with that problem by sending Thanksgiving cards, and spelling out on each just why they're thankful for customers' business. Of course, it's too late to do that for 2004, but what about sending a card in early January, telling customers how much you're looking forward to working with them in the new year?
A growing number of small businesses are taking an entirely different approach, forgoing gifts or traditional cards and making charitable gifts in customers' or clients' names. They're more interested in keeping with the spirit of the season than in doing some advertising but in the process, they do strengthen the bonds they have with their customers.
Barry Schwartz, president of Schwartz Public Relations in New York, donates money to the Starlight Starbright Children's Foundation.
"I don't do this essentially as a means to stimulate business because I've always believed in what Starlight does," Schwartz said, but added that "a charitable approach is more meaningful" than traditional business gifts.
"It can only reflect well in your relationship with your clients," he said.